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The S&P/ASX200 has closed 59 points lower at 6041. This is 24 points lower than the start of the year.

CSL has been a major drag on the market today, taking off 15 points to close 4.5 per cent lower at $188.21, the lowest price since mid-June. Nearly $265 million worth of CSL stock traded hands today. Cochlear ended the day 5.2 per cent lower at $191.88.

Also down today is the big four banks with Westpac hitting a one-year low of $26.97. Wesfarmers, Woodside Petroleum, Maquarie Group and Treasury Wine were also in the red.

The only indices to finish higher were utilities, up 0.2 per cent and real estate, up 0.1 per cent. NextDC closed 2.6 per cent higher at $6.29 and Mineral Resources had a good day, up 1.5 per cent to $15.71.

Hong Kong's Hang Seng index is seeing a similar sell-off and is down to 26,281 points, a level it has not been at since mid-2017.

Patrick Commins has written a wonderful article on the increasing attractiveness of bonds over equities. And Citi's top global equity strategist Robert Buckland tells him US bond yields can climb another 0.25-0.5 percentage points before shareholders start asking a crucial question: given the risks and where yields are now, wouldn't I rather be in reliable bonds?

Years of extraordinary monetary policy have flattened yields around the world and pushed investors of all stripes to take on more risk in a search for income. Many "natural" bond owners have become uneasy shareholders.

Which means that even if every basis point rise in Treasury yields brings equity markets closer to their date with destiny, income-starved investors would have more mixed feelings. There are many who would love the opportunity to put their money in a low-risk asset that generates a reasonable level of yield.

Higher yields are not necessarily a major problem for equity markets as long as companies' earnings continue to power ahead and the economy maintains its momentum. But as that growth story loses its potency – potentially as a result of higher borrowing costs – the arithmetic shifts in favour of bonds."

3:26pm on 9 Oct 2018

As we head towards the end of today's session the ASX 200 is down 62 points and has been bubbling around 6040 all afternoon. As this chart shows that level is pretty much where the S&P/ASX 200 started in 2018. Trading volumes are heavy today in Telstra, South32, MYOB and Resolute Mining.

S&P/ASX 200 performance over 12 months

3:12pm on 9 Oct 2018

Cochlear has dropped 6.3 per cent today, taking 2.7 points off the S&P/ASX 200 index. Its health sector stablemate, CSL, has done more damage, taking 15.6 points off the index as it drops 4.7 per cent to $187.84.

We approached Cochlear for comment about the new device created by Bose that allows consumers to fit and adjust the hearing aid themselves. Chief executive and president Dig Howitt sees it as a positive for Cochlear in the long-run:

"Hearing loss is one of the most prevalent medical conditions in adults and is under-treated," he told us.

"Consumer electronics companies entering the hearing aid market with products for mild to moderate hearing loss helps raise awareness of hearing loss and de-stigmatises treating hearing loss. This is important because healthy hearing is an important component of healthy aging. Cochlear's products are used by people with moderate to profound hearing loss and are typically indicated for use when a hearing aid does not provide sufficient benefit."

"For the first time in 20 years we have suffered a gigantic loss, a catastrophic loss, a tsunami loss of financial blunders and financial mistakes," shareholder Jack Tilburn said.

"Why haven't you fallen on your sword?"

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2:45pm on 9 Oct 2018

Terms of reference for the Aged Care Royal Commission have been released (available here). The market's reaction is that it is worst for Regis, with the stock price dropping from $2.80 to $2.77 after the Letters Patent were released.

Estia Health has been down all day and is at $2.23 (a 12-month low) after closing at $2.29 on Monday. Aveo and Japara shares rose in the afternoon. Aveo was up from $1.96 to $1.98.

Japara closed at $1.28 on Monday and was down to $1.25 today. The stock is up just slightly to $1.255.

2:19pm on 9 Oct 2018

Gina Rinehart's Hancock Prospecting is on the cusp of a full takeover of Atlas Iron through its subsidiary Redstone. This afternoon it advised it now owns 90 per cent of Atlas Iron stock though an off-market offer and "intends to initiate compulsory acquisition", closing at 5pm (Perth time) Friday.

1:37pm on 9 Oct 2018

Risk indicators are rising, which is one reason equities are being sold off. The Australian volatility index is up to 15 compared to an average of 12.4 while the Chicago-based volatility index is up to 15.69 compared to an average of 14.

ASX VIX is up at 15 compared to an average of 12.4

1:02pm on 9 Oct 2018

As Cochlear continues to decline on news Bose has invented a hearing aid, you might be wondering 'how can I buy into Bose'. The answer is you can't.

The company is privately owned and the majority holder of the stock is the Massachusetts Institute of Technology. How? Well founder Amar Bose donated his Bose stock to MIT, where he was working when he founded Bose Corporation and taught for many years. MIT cannot vote or wield influence on the corporation, but it does receive dividends every year to "advance its education and research mission".